Sundance reports iron ore find at Mbalam project in Cameroon

June 1, 2008

June 1st (Steel Guru) – International iron ore company Sundance Resources Limited announced a maiden JORC Code compliant Inferred Mineral Resource of 190 million tonnes of Direct Shipping Ore quality hematite mineralization average grade of 60% Fe at its 90% owned Mbalam Iron Ore Project at Cameroon in West Africa.

The Mineral Resource estimate is based on the results of resource definition drilling conducted at the Mbarga and Mbarga South Deposits on Exploration Permit No 92. The tonnage at the Mbarga Deposit has been estimated from drilling over an area measuring 3 kilometer by 2.5 kilometer. The tonnage at the Mbarga South Deposit has been estimated over an area of 1.0 kilometer by 1.5 kilometer. The areas drilled represent only part of the prospective geology identified on the Exploration Permit.

A summary of the initial Inferred Mineral Resource inventory is given below

Deposit Volume Fe SiO2 Al2O3 P LOI
Mbarga 163.0 60.1 6.8 2.5 0.06 1.9
Mbarga South 27.2 59.4 7.7 3.5 0.06 3.2
TOTAL 190.2 60 6.9 2.7 0.06 2.1

(Volume in million tonnees)

Mr Don Lewis CEO of Sundance said that “The definition of this large JORC Code compliant Inferred Mineral Resource for DSO quality mineralization at the Mbarga and Mbarga South Deposits represents an excellent achievement by our team.”

Mr Lewis continued that “Exploration is continuing to build confidence in the broader potential of this asset as a world scale iron ore project based on substantial tonnages of DSO and Itabirite mineralization. We are on track to complete a JORC Code compliant resource estimate for the Mbarga Itabirite Deposit within the next few months as we continue to lay the foundations for development of a staged DSO/Itabirite iron ore project.”

He added that “The nature of the DSO resource at Mbarga will allow large-scale, low cost open pit mining operations with a very low stripping ratio. This operation will ultimately transition to beneficiation of Itabirite feed to produce 35Mtpa high-grade product over the life of the mine.”

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